The British Bankers' Association (BBA) has issued a press statement backing the improved supervision of the European financial services industry recently announced by the Commission.

The BBA welcomes the idea of a pan-European framework, but stresses that the independence of the local supervisors must be maintained.

Angela Knight, BBA Chief Executive, said:

"Today's package of reforms from the European Commission that looks at banking supervision needs to focus on ensuring that there are high quality, well functioning, colleges of supervisors for the cross-border banks, both for 'business as usual' and for stressed situations.

The creation of the new framework and a single rulebook will also require care if we are to achieve an outcome that does not result in a tick box culture of supervision.

We believe the Financial Services Authority and the Bank of England should now start preparing the ground for the new authorities to ensure the UK financial services sector is properly represented on these new European bodies."